Oil soar over 2% after sharp drop in US inventories

2020-09-16 10:47:08 GMT (Economies.com)
Oil soar over 2% after sharp drop in US inventories

Oil prices surged more than 2% on Wednesday, to extend gains for the second straight day and hit a 1-week high, after the American Petroleum Institute showed in preliminary data a sharp decline in the US crude inventories, and ahead of the US Energy Information Administration's weekly report.

 

US crude rose 2.6% to $39.39 a barrel, after opening at $38.39, and hit a session-low of $38.38, and Brent rose 2.2% to $41.60, after opening at $40.70, with a low of $40.60. 

 

US crude gained 2.9% yesterday, and Brent rose 2.5%, after strong data on China's industrial production. 

 

The American Petroleum Institute (API) revealed yesterday in preliminary data that the US crude inventories fell by about 9.4 million barrels in the week ending September 11, the seventh weekly drop in the last 2 months, beating expectations of a rise by 1.6 million barrels.

 

The total inventories fell to 496.6 million barrels, the lowest level since the week ending April 10, which is a positive sign on demand and consumption levels in the US.

 

While the US Energy Information Administration (EIA) will release today the official data on inventories and production levels in its weekly report, with forecasts for inventories to rise 2.1 million barrels.

 
 
 
  Symbol Last Change Chg.%
1.1858
-0.0020
0.1713%
1.2951
0.0052
0.4016%
Tadawul
8364.61
6.65
0.08%
26.889
-0.122
0.454%
40.790
3.730
10.065%
43.15
-0.26
0.60%
1952.295
-1.930
0.099%
 
 
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